Stormy weather sends Middle East supply chains out of whack

Days of bitterly unusual weather across the Persian Gulf region have sparked serious concerns for ocean and air freight stakeholders, dealing another blow to supply chains already caught up in worsening geopolitical setbacks after the Iran-Israel faceoff.

Cargo agents and other shipping industry sources in Dubai have reported significant cargo delays and backlogs, which they believe could take up to a week to clear up and return to normalcy.

Sources have also told Container News that many ports in the region, including Jebel Ali, have had to deal with berthing delays because of extreme weather conditions.

“Over-the-road freight movements continue to remain disrupted at many places,” said a freight forwarder.

The forwarder source further noted: “Authorities are working at a swift pace to clear up the affected road networks,”

At the same time, container line sources have noted that leading port terminals in the region are now operating at near normal activity.

An executive at a major European container line said: “Most of the port operations are up and running, but the flooding is leading to cargo delays.”

Air freight verticals are said to have borne the brunt of the disruptions from torrential rains and storms, reportedly the most severe the UAE has experienced in 75 years.

Dubai Airport, the world's busiest hub, has seen widespread flight cancellations and diversions for the last two days, after the storm alarmingly flooded the runway.

Maersk commemorates 120 years of history

Today marks the 120th anniversary of the Danish shipping company A.P. Moller - Maersk. The firm highlighted its remarkable evolution from humble origins in Svendborg, Denmark, to a global transportation giant.

Maersk historian Henning Morgen showed off some of the Maersk highlight items, exploring the company's heritage and uncovering some of the milestones that have shaped Maersk, from entering liner shipping in 1928 to the introduction of its first large methanol-enabled vessel in 2024.

韩国釜山港新建自动化码头提升集装箱吞吐能力

韩国釜山新港启用了第七个集装箱码头,扩大了其装箱能力。

韩国总统尹锡烈出席了 4 月 5 日举行的码头启用仪式,并称赞该设施是将釜山港打造成世界级智能港口和全球物流枢纽的里程碑。

新设施是韩国首个全自动码头,采用韩国制造的遥控船岸起重机。与其他码头相比,自动化流程有望将港口的生产率提高 20%,并大大降低与安全相关的事故风险。

开发项目分阶段进行,新港口扩建计划持续到 2040-2050 年左右。据釜山港务局称,整个扩建项目将耗资约 320 亿美元。

2023 年,釜山港的集装箱吞吐量为 2275 万标准箱,与 2022 年相比增长了 3.1%。

South Korea’s Busan Port boosts container capacity with new automated terminal

South Korea’s Busan New Port has launched a seventh container terminal extending its box capacity.

The terminal’s opening ceremony was held on 5 April and was attended by South Korea's President Yoon Suk Yeol, who lauded the facility as a milestone in turning Busan Port into a world-class smart port and hub for global logistics.

The new facility is the first fully automated terminal in the country featuring remotely controlled ship-to-shore cranes, which were built in South Korea. The automated processes are expected to boost the port’s productivity by up to 20% compared with other terminals and significantly lower the risk of safety-related incidents.

The development project was carried out in phases, and the new port expansion is scheduled to last up to around 2040-2050. According to the Busan Port Authority, the overall expansion project will cost around US$32 billion.

In 2023, the Port of Busan handled 22.75 million TEUs, translating to a 3.1% growth compared to 2022 figures.

Port of Hong Kong faces severe connectivity loss

Recent service networks released by the container shipping alliances reveal a noticeable trend: Major shipping companies are rapidly scaling back their presence in Hong Kong along East-West shipping routes.

Gemini's latest network overview reveals no scheduled direct deep-sea calls to Hong Kong. Likewise, the Ocean Alliance's 2024 network update shows a significant reduction in direct port calls, plummeting from 11 to just six. Additionally, in THE Alliance's newly published 2025 Transpacific network overview, Hong Kong is notably absent from their Pacific South West and Pacific North West services, leaving only one Asia-US East Coast service remaining.

The latest data from the United Nations Conference on Trade and Development (UNCTAD) on the Liner Shipping Connectivity Index (LSCI) also underscores a continual decline in connectivity for Hong Kong over the past decade, as depicted in Figure 1. The LSCI for Hong Kong hit its lowest point of 388 in 2023-Q4, with a marginal uptick to 390 in 2024-Q1. Despite slight fluctuations, the overarching pattern indicates a consistent and sharp decline.

"While this does not bode well for the Port of Hong Kong, it should also be seen as a sign that an element of network consolidation is afoot, especially as it relates to transshipment hubs," said Alan Murphy, CEO of Sea-Intelligence, a Danish maritime data analysis firm.

He pointed out, "Analysis of network design and network efficiency will show that fewer, but larger, hubs are economically more efficient. Hong Kong appears to be the first major 'victim' of this. But as the new alliance constellations improve their networks in the coming years, more ports could likely risk the same fate as Hong Kong."

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